'We're in the clear' - Michael Page

MICHAEL Page, the headhunter that has issued two profits warnings since floating in March, said it had been cleared by the Financial Services Authority following an investigation into its Stock Exchange announcements.

A spokesman for the company, which has previously refused to acknowledge an investigation was under way, said the probe had related to the timing of Page's trading statements.

He said speculation that the inquiry had related to the accuracy of the forecasts contained in the group's prospectus was wrong. It is believed the FSA focused on whether Page had issued its June profit warning, which caused the shares to slump 11%, immediately it realised the extent of its troubles.

Page also said trading conditions had not deteriorated since its profits warning in early October. That update caused analysts to cut their full-year forecasts by 10% to about £63m before interest, tax and one-off items.

But it said revenues continued to be hurt by lower business confidence, particularly in continental Europe and the Asia-Pacific region. Page shares slipped 3 1/2p to 165 1/2p in a soft market.